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WHITE PAPER

ONE SOLUTION
FOR

PROJECT SUCCESS

PROJECT AND CHANGE MANAGEMENT


IN THE PMBOK GUIDE
By Thomas Luke Jarocki, Emergence One International, Ltd.

One Solution for Project Success: Project and Change Management in the PMBOK Guide

Table of Contents
Introduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Change Management and PMI Standards. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Characteristics of an integrated PM/CM approach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
The importance of expert judgment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Understanding enterprise environmental factors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Change Management WithintheProjectManagementProcess Groups . . . . . . . . . . . . . . . . . . . 8


The Project Management Process Groups . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

Change Management andthePMBOKGuideKnowledge Areas. . . . . . . . . . . . . . . . . . . . . . . . 11


Project Integration Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Project Scope Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Project Time Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Project Cost Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Project Quality Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Project Human Resource Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Project Communications Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Project Risk Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Project Procurement Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Project Stakeholder Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

Summary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

2014 Project Management Institute, Inc.

September 2014

Introduction
Projects are the vehicles of change. Projects are provided funding and resources not so they can simply be
delivered on time, within budget and according to scope; but because they help drive the necessary changes,
both individually and organizationally, that create value for the organization.
Unless project outputs and deliverables are adopted and utilized by stakeholders to create value, the project
has not fully met its business objectives. Project managers play an instrumental role in helping to facilitate the
adoption of project outputs and deliverables, and preparing the organization for change. They do this by ensuring
the critical human, governance and organizational change management elements that are woven into project
management standards are fully integrated and capitalized on during the planning and execution of projects
and programs. PMIs Pulse of the Profession: The High Cost of Low Performance (2014) report indicates that
organizations face a wide chasm between their actual state and the state of success, mostly from a lack of focus
on people, processes and outcomes.
Despite this good practice of integrating all change management activities within the project management
plan, many project managers do not fully understand their role. This is due, in part, to varying definitions
and understanding of change management. To some, change management is more psychology than project
management, where psychotherapeutic techniques are utilized to help employees overcome a perceived
emotional resistance to change. To others, it is nothing more than a glorified end-user communications plan.
And to still others, it is about preparing the organization for change using a variety of interventions that
have little to do with the quality of project outputs or the substance of the change. Because projects are the
structured implementation of change, good project management relies on people just as much as successful
organizational change requires adherence to project management rigor and standards.
For the purposes of this paper, change management captures a variety of activities that pays strict attention
to the human, political and organizational readiness variables that can impact the success of projects and
programs. Change management insights, whether they come from different stakeholders at various points in the
project lifecycle, or from analyzing the anticipated impact certain design decisions will have on the organization,
are critical to the project planning and execution process. These enhanced insights are critical to increasing the
quality of project planning, design and deployment, including the facilitation of organizational readiness. These
insights, in turn, increase the likelihood of stakeholder acceptance and the creation of organizational value.
After all, employees do not resist change as much as they resist poorly designed or implemented projects and
programs.
Even though organizational change management practices have been embedded within PMI standards
and professional credentials for several years, many practitioners still have difficulty understanding how
organizational change activities integrate with project management processes and knowledge areas. Thus, many
project managers look beyond the standards for guidance, which can be fraught with risks.
There is a common, but inaccurate, view that organizational change management is a separate discipline from
project management. This implies that change efforts do not require the beneficial structure or rigor that project
management practices provide. Any change effort executed without project management rigor or structure is
more likely to deliver chaos rather than beneficial organizational change. By viewing change management as
something that is separate from project management, a silo mentality is created. Since change management

2014 Project Management Institute, Inc.

One Solution for Project Success: Project and Change Management in the PMBOK Guide

is often mischaracterized as focusing on the people side, project managers are sent the potentially harmful
message that they should focus exclusively on technical issues. Project management success is as dependent
upon people as it is on the proper technical and functional skills. Too often, project managers abdicate their
change management responsibilities without capitalizing on the project management/change management
touch points and opportunities that exist throughout a projects lifecycle. Often there is a separate change plan
that is not part of an integrated project management plan. Instead of relying on one unified approach, having
separate change management plans and project management plans means the road to success is divided.
Achieving overall success is now dependent upon the successful execution of two separate plans. Besides the
executional inefficiencies this approach produces, the project sponsor now has to procure and manage two sets
of resourcesa project team and a change team.
One key thing to remember: Project management is primarily an integrative job. This includes the integration
of change management principles and activities throughout the project lifecycle. Unfortunately, many
practitionersregardless of their backgroundsfind it difficult to integrate strong change management
principles and techniques with project management practices.

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September 2014

Change Management and PMI Standards


Change management practices have been part of PMI standards and professional credentials for many years.
As Managing Change in Organizations: A Practice Guide (PMI, 2013b) states: From stakeholder management to
communications to human resources management, elements of change management appear throughout PMIs
foundational standards but are not specifically identified as the phrase change management (p. viii).
The above is important for at least two reasons:

Because the PMBOK Guide (PMI, 2013a) states: The end is reached when the projects objectives
have been achieved(p. 3) project managers and project sponsors are judged more by the value their
projects createwhich requires managing organizational change and facilitating adoptionthan by
simply delivering on time, within budget and according to scope.

Good change management is not simply about communicating the benefits of the project to the
organization. After all, no change management plan in the world will save a poorly conceived or
executed project. Good change management, through its increased emphasis on understanding and
managing stakeholder needs and expectations, is also about affecting the substance of the change. By
integrating change management activities into project design and decision making, the quality of the
overall initiative will be increased. This will help facilitate the subsequent adoption of project outputs and
deliverables.

PMI standards hold many of the keys required for developing structured and robust change management
activities without the need to create a separate or adjunct change management plan. It is critical for project
managers to not only recognize the various change management elements within the PMBOK Guide (PMI,
2013a), but to know how to expand upon the change management concepts presented in order to augment and
enhance their project management plans.
Project A1
Program A

Vision, Mission,
Organizational
Objectives

Project A3
Portfolios

Current
State

Strategic
Change

Project A2

Program B

Enterprise
Project

Project B1
Project B2

Organizational
Change
Sustainment

Future
State

Deployment 1
Deployment 2
Change Adoption
PMI Standards

Figure 1: The role of portfolios, programs and projects in moving from the current state to the future state

2014 Project Management Institute, Inc.

One Solution for Project Success: Project and Change Management in the PMBOK Guide

Characteristics of an integrated PM/CM approach


An integrated project management approach is characterized by having a singular, unified approach to achieving
project success and organizational value. Rather than divide an initiative between a project side and a change
side, an integrated plan incorporates both project management and change management perspectives into a
single, iterative set of activities.
For example, when developing a new IT system, one of the key tasks is to gather business, technical and
functional requirements from stakeholders. Traditionally, a session like this would have an IT focus where
business requirements are offered to a project team. However, an integrated project /change management
approach would augment the structure of the requirements gathering session by:

Providing more detailed information about the project and asking stakeholders how the change might be
perceived by the rest of the organization.
Identifying potential change champions among organizational stakeholders who will be directly
impacted by the change and who can help facilitate its adoption.
Asking participants for guidance on how to best go about engaging their colleagues and building positive
momentum for the change.
Gaining insights into how the impact of the project might necessitate the need for other types of
organizational changes, such as changes to processes, the organizational structure or policies and
procedures.
Understanding the potential workarounds that may be used instead of the proposed or recently deployed
solution. (Note: Change adoption can be facilitated with technical interventions and simply by using
psychotherapeutic techniques to win the hearts and minds of the end user, but also by blocking
workarounds so fewer options and diversions are available.)

A few of the benefits of having an integrated approach include:

Instead of the initiative being divided between project management and change management, there is
one path for achieving business objectives and organizational value.
Because change management activities are seamlessly embedded within the project lifecycle, change
management is not seen as a separate or adjunct activity that can easily be defunded or deemphasized.
It provides the ability to leverage joint opportunities so that stakeholder engagement activities become
more streamlinedfor example, providing project sponsors with change leadership coaching along with
project status updates.
It provides the project team with better insights into understanding organizational impacts and
stakeholder concerns, so the team can modify its approach and design decisions and proactively
minimize potential resistance.

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The importance of expert judgment


Throughout the PMBOK Guide (PMI, 2013a), the use of professional judgment based upon expertise in a
particular knowledge area or disciplineor expert judgmentis often sought out and utilized as an input to
the creation of various deliverables. While project managers must be certain to develop their own change
management competencies, it can also be challenging for every project manager to have the depth of expertise
or the bandwidth necessary to properly enhance project tasks with change management insight. Therefore,
project managers need to learn how to properly supplement (as opposed to abdicate) their change management
skillset and seek out appropriate change expertise when needed.

Understanding enterprise environmental factors


Each of the Project Management Process Groups in the project lifecycle is generally under the control of the
project team. However, within most projects there are enterprise environmental factors not under the teams
control that may influence or constrain project management options. Included would be areas that are typically
considered when devising change management activities and/or risk mitigation plans, and include:

Organizational culture, such as how well it tolerates change and how supportive colleagues and
managers may be of new behaviors.
Internal organizational politics and informal mechanisms for how things really get done.
The existence of support organizations and the processes they own, such as corporate communication
protocols, human resources performance review processes or the availability of in-house training
resources.

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One Solution for Project Success: Project and Change Management in the PMBOK Guide

Change Management
WithintheProjectManagementProcess Groups
The proper application of project management processes increases the chance of project success. This involves
both the hard skills around managing project budgets and timelines, and the softer skills involving people,
perceptions and relationships. In this regard, the PMBOK Guide (PMI, 2013a) clearly states that for a project
to be successful, the project team needs to [c]omply with requirements to meet stakeholder needs and
expectations (p. 47).
By understanding that stakeholders also have dynamic emotional and cognitive needs that go beyond
project requirements, project managers can start planning how to achieve the true objectives of the project.
This includes the adoption of the project output and the demonstration of new behaviors that will enable
stakeholders to create value for the organization.

The Project Management Process Groups


The Project Management Process Groups are a logical grouping of project management inputs, tools and
techniques and outputs. There are five Project Management Process Groups:
1. Initiating
2. Planning
3. Executing
4. Monitoring and Controlling
5. Closing
Since one of the purposes of change management is to provide greater visibility into the human, political
and organizational change factors that can facilitate project success and the realization of project value, it is
important to recognize that within each of the five process groups there exist numerous change management
concepts that should be fully leveraged.
The Initiating Process Group is performed to define a new project or a new phase within an existing project.
Whenever initiating a new project or project phase, it is critical to identify the stakeholders who are important
not only for requirements gathering, but also those who will be impacted by project outputs. The project
management approach should be defined just as much by people-related requirements and organizational needs
as it is by the more technical project-related requirements. It is also important to understand the needs of the
executive and/or business sponsor.
Some of the questions a project manager should consider asking include:

Who can provide or withhold critical resources?


Whose interests might be considered at risk and how might those risks be mitigated?
Are there any critical chains or dependencies that require close integration with other projects?

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September 2014

Projects can be seen as an extension of the sponsors leadership and business capabilities, so project managers
should explore which elements of the project are most important to the sponsor. Similarly, in a political
environment, it is essential to identify the organizational leaders at all levels within the organization who can
influence key project elements. Who can provide or withhold critical resources? Whose interests might be
considered at risk and how might those risks be mitigated? Are there any critical chains or dependencies that
require close integration with other projects? These are the types of questions the project manager should
consider as the project is starting and should continue to assess throughout the projects lifecycle.
The Planning Process Group is where the scope and objectives of the project (or project phase) are more fully
defined with the appropriate course of action. When defining the scope, it is important to keep the ultimate
objectives in mind and create something that, once adopted by the organization, will create value. As an
example, new technology in and of itself will not create value. Value will only be created once the organization
embraces the technology (project output) and utilizes it in such a fashion to create value for the organization. By
embracing the mindset that a project is ultimately about utilization of deliverables, not just the delivery of an
end product or service, key project sponsors will come to understand the value of incorporating robust change
management planning. Similarly, stakeholders on the operations side of the businessas they are the ones
utilizing those deliverablesmust be engaged throughout the project to ensure they are appropriately prepared
to leverage the new capabilities.
The Executing Process Group includes those processes utilized to complete the work that is defined in the
project management plansuch as managing stakeholder expectations and integrating the various project
activities, including the people-related activities. A well-run project will be attuned to the change management
factors that affect project execution, and will account for these factors throughout the project lifecycle. In some
instances, it may be important for the project to include both a subject matter expert (SME) and a change agent
on the project. SMEs may know the business needs that the project should address, while the change agent
may be expert at understanding which factors will or will not support the desired business behavior that leads
to successful outcomes. So, the project manager needs to think carefully about how to resource the team to
achieve the overall business results, not just the project results.
The Monitoring and Controlling Process Group is where the progress and performance of the work is
tracked, reviewed and regulated. Continuous monitoring provides insight to the health of the project and the
areas requiring additional attention. This includes the need to meet the ever-evolving needs and expectations
of stakeholders. For instance, if the project team hears skepticism or discontentment with the initiative, they
should engage those stakeholders to understand their concerns and make the necessary changes in response.
This may require making changes to the substance of the project itself, such as: modifying designs; or changes in
how the project is being supported or promoted by sponsors.
The Closing Process Group is utilized to conclude activities and formally complete the project or project
phase. The closing process perhaps requires the most attention when it comes to managing change. Often times,
a project sponsor may close a project prematurely when a tangible deliverable is provided to the organization.
However, as stated earlier, the end of a project is reached when the projects objectives are met. Since project
objectives include the creation of project value, and that project value is often dependent upon organizational
adoption and utilization, the project should not be considered closed until organizational adoption and other
project success metrics have also been achieved.

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One Solution for Project Success: Project and Change Management in the PMBOK Guide

While it may not be the direct or ongoing responsibility of the project manager to manage an initiative until
project value is created, it is the responsibility of the project manager to lay the necessary foundation to help
make this happen prior to transferring ownership to operations.
Another key element of the closing process is to ensure that lessons learned are captured and utilized to
enhance the organizations performance. Static project management practices can lead to project failures
if elements of the organizations culture, business needs or environment change and those changes are not
considered or reflected in the evolution of project practices. Feedback, enhancement and improvement ensure
that project management practices are also subject to change as needed to achieve business objectives.
Table 1 summarizes change management activities within each of the Project Management Process Groups.

Table 1: Change management considerations by project management process groups


Project Management
Process Group

Key Change Management Considerations

Ensure that the people factor is given just as much consideration as more
technical elements are at the outset of a project.

Identify all the relevant stakeholders, including those who can affector be
affected bya decision, activity or outcome of the project.

When planning for a project, it is important to keep the end in mind. A


project needs to create value for an organization, and one of the necessary
prerequisites for value creation is organizational adoption.

Keep both organizational adoption and value creation in mind during the
planning process.

Manage stakeholder needs and expectations.

Executing

Utilize both subject matter experts and change agents during project executing
processes.

Monitoring and
Controlling

Assess and meet the ever-evolving needs and expectations of stakeholders.

Adjust project plans and designs based upon stakeholder needs and concerns.

Projects are not formally closed until organizational adoption and value
creation are realized.

Lessons learned are captured.

Initiating

Planning

Closing

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Change Management
andthePMBOKGuideKnowledge Areas
The Project Management Process Groups integrate with ten Knowledge Areas. Because change management
is an umbrella term used to describe a suite of activities and principles, there is not a separate change
management knowledge area. Rather, change management concepts and activities are embedded in each of the
areas.
While change management concepts and activities are fairly easy to recognize within certain knowledge areas
such as project communications management and project stakeholder managementchange management
concepts and activities actually exist in each of the ten areas. It is the responsibility of the project manager to
recognize the change management principles and activities that are inherent in each and expand upon them as
appropriate.

Project Integration Management


The PMBOK Guide (PMI, 2013a) states: Project Integration Management includes the processes and
activities to identify, define, combine, unify and coordinate the various processes and project management
activities within the Project Management Process Groups (p. 63). This includes the integration of both the
project management and change management processes and activities that are embedded within each of the
Knowledge Areas.
Some of the areas under Project Integration Management that can be augmented by adopting a broader change
management focus include:

Developing a project charter. This typically comes from the developed business case that is proposed
for the project. This should also include incorporating an organizational case for change that goes beyond
financial forecasts and includes the benefit of organizational changes. For example, if a component of
the projects success depends on building new or reshaping existing elements of the business, such as
new supply chains or upgrading key components, then those changes and their implications should be
highlighted in the charter.

Developing the project management plan. This is the document that describes how the project will
be executed, monitored and controlled. It integrates and consolidates all of the subsidiary plans which
includes the change management elements such as:
zz
zz
zz
zz
zz

A communications management plan


A risk management plan (that includes organizational and user adoption risks)
A stakeholder management plan (including the need to manage user adoption needs)
A project sponsorship plan
Activities required for assessing organizational readiness

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One Solution for Project Success: Project and Change Management in the PMBOK Guide

Ensure that project scope


includes change
management related
activities

Ensure that
stakeholder needs and
expectations are included
at each point in the
project lifecycle

Evaluate vendors on
their sensitivitiy to
issues relating to
stakeholder
management and
organizational impact

Project
Stakeholder
Management

Project
Procurement
Management

Ensure that time required


for CM related activities
are properly estimated,
scheduled and managed
as part of a unified
project plan

Project Scope
Management

Ensure
that time
required for CM
related activities are
properly estimated,
scheduled and managed
as part of a unified
project plan

Project Time
Management

Ensure that
costs relating to
organizational readiness,
user adoption and other
Project Cost
CM activities are
Management
managed as part of the
project budget

Project
P
ct
Integration
n
M
Management
ntt

Project
Quality
Management

Project Risk
Management

Project
Project
Communications Human Resource
Management
Management

Utilize communications
to help facilitate
change readiness and
adoption

Ensure that stakeholder


satisfaction is a primary
measure of project quality

Ensure that the project


team includes those who have
change management
competencies

Figure 2: Integrated change management in the PMBOK Guide knowledge areas

Project Scope Management


The PMBOK Guide (PMI, 2013a) states: Project Scope Management includes the processes required to ensure
the project includes all the work required, and only the work required, to complete the project successfully (p.
105). One of the key outputs of Project Scope Management is the scope management plan, which describes
how the scope will be defined, developed, monitored, controlled, and verified (p. 109). When defining and
developing the project scope, it is important to include such elements as communication planning, competency
development and ongoing stakeholder engagement.
When a project manager hands the change management portion of an initiative to a separate team who
manages their own separate change plan, the project manager loses control of one of the most critical aspects
of the project scope. By putting these elements in the project scope statement, it is much more likely these
activities will be understood as being necessary for project success and that funding for them will be maintained.
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Within Project Scope Management, there are other processes that also have significant change management
elements:

Collect requirements is the process of determining, documenting and managing stakeholder needs and
requirements to meet project objectives. It is a critical process when it comes to defining and managing
scope. As the PMBOK Guide (PMI, 2013a) states Requirements include the quantified and documented
needs and expectations of the sponsor, customer and other stakeholders (p. 112). Some of the needs
and expectations of the stakeholders may include:
zz
zz
zz
zz
zz
zz

Adequate and timely information


Clear understanding regarding how their roles and responsibilities may be impacted
Direct engagement and involvement in the change
Visible support for the change from senior-level leadership
Emotional support when experiencing change-induced stress
Reward and recognition systems that reflect the expected new performance requirements

Alternative generation is a technique used to develop as many potential options as possible to identify
different approaches to execute and perform the work of the project. Alternative generation is especially
common in large and complex projects, and may even be a distinct project phase within a project
lifecycle. Change management concerns should play a big role in alternative generation and selection.
How various options might impact people in the organization should be a key decision criterion in
determining the best option. For example, Option A might be a marginally better technical option than
Option B; but, in assessing and considering the impacts that Option A will have on the organization
and the workforce, the project team may conclude that Option B is more feasible and the better option
because this path would lead to a quicker user adoption rate and a faster return on investment.

Change requests can come from anyone involved inor impacted bythe project. The better the
project team is in listening to and accommodating (when feasible) requests for changes, the less likely
it will be that stakeholders resist the change. For instance, Davis (1989) and others have found that
perceived usefulness and perceived ease of use are the two most important factors that facilitate
user acceptance when it comes to the acceptance of new technology.

In most workplace settings, many employees expect their company will continue to change and evolve. Whether
or not there is the expectation that change will occur in the workplace, change still needs to be managed and
should be part of any scope management efforts.

Project Time Management


The PMBOK Guide (PMI, 2013a) states: Project Time Management includes the processes required to manage
the timely completion of the project (p. 141). The schedule management plan is one of the primary outputs of
this Knowledge Area.
Organizational culture can influence project schedule management. Some organizational cultures have a
strict 9-5 workday mentality; others bond over late-night work sessions. To gain a better understanding of
expectations, a cultural assessment of the organization will help develop a realistic project schedule. This
approach is particularly important when projects require virtual team members to participate from different
locations, in different time zones and even across different geographies.

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Other processes and deliverables within this Knowledge Area that can influenceor be influenced bychange
management activities include:

Setting milestones: Milestones are a significant point or event in the project. As such, project
milestones often serve as triggers for certain change management activities, such as when to release
key project announcements to stakeholders. Without knowing the project milestones, it is difficult to
determine the optimal timing of certain change management events.

Determining project task dependencies helps to craft an accurate project schedule. There are many
key project activities, such as deployment, that are dependent upon the organization first being ready to
accept the change.

Establishing activity resources and duration helps identify the types and quantities of resources
required for each activity in a work package. This includes such activities as training, which can be
resource and time intensive.

Organizational readiness also impacts the project schedule. Organizational readiness generally refers to the
organizations ability to accept and utilize the final outputs of a project so that they can be adopted by the
workforce and utilized to create business value. To assess this, a change or organizational readiness assessment
is usually conducted at a set point prior to deployment. If the organization is not ready to embrace the change
due to a lack of understanding, motivation, competency or some other criteria, then the deployment should be
delayed while the organization becomes more thoroughly prepared (Combe, 2014).

Project Cost Management


The PMBOK Guide (PMI, 2013a) states: Project Cost Management includes the processes involved in planning,
estimating, budgeting, financing, funding, managing and controlling costs so that the project can be complete
within the approved budget (p. 193).
Key activities associated with this knowledge area include:

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Estimate costs/determine budget. Project costs should factor in expenditures associated with
organizational readiness and change adoption activities. Certain project activities that help facilitate
organizational readiness, such as having a robust competency development and training plan, can
sometimes make up a significant portion of the project budget.

Control costs. When change management activities are separated out as something external to project
planning and execution activities, they often fall victim to cost trade-off decisions. For instance, if
the project team is behind schedule and more resources need to be applied to hit key milestone dates,
funding for certain change management activities such as preparing the organization for change is likely
to suffer. If the project fails, there will be no resulting organizational change. Thus, the need to prepare
the organization for change becomes unnecessary.

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Project Quality Management


The PMBOK Guide (PMI, 2013a) states: Project Quality Management includes the processes and activities of
the performing organization that determine quality policies, objectives, and responsibilities so that the project
will satisfy the needs for which it was undertaken (p. 227).
Project team members, whose attention is divided between project deadlines, long hours and rapidly shifting
requirements, are often a poor judge of the quality of their work. This is why engaging stakeholders, who can be
more objective, is so critical.
Stakeholders, especially those stakeholders who will be impacted by the change, are in many ways customers
of the project. The International Organization for Standardization quality standards recognizes the importance
of customer satisfaction (ISO, 2014). The more you can measure and address customer satisfaction concerns
throughout the project lifecycle, the less likely there will be resistance to the changes that the project drives into
the business.
Quality metrics are typically utilized to describe and measure a project or product attribute. However, with an
integrated approach, the concept of quality metrics can be expanded to also include stakeholder satisfaction
metrics in such areas as:

Satisfaction with the amount of information they are receiving about the project
Level of support for the project (typically measured with a stakeholder analysis assessment)
User adoption rates
Training plan effectiveness
Level of self-sufficiency (for example, number of calls into the support desk for an IT project)

Gathering data on the above can help evaluate and improve on communications plans, training plans, user
adoption strategies and, ultimately, the project management plan itself.

Project Human Resource Management


The PMBOK Guide (PMI, 2013a) states: Project Human Resource Management includes the processes that
organize, manage, and lead the project team (p. 255). This includes identifying project roles and reporting
relationships, and has many important implications for change management.
While it is recommended change management activities be seamlessly integrated into the overall project
management plan, this does not mean that there should not be specialized change management expertise
within the project team. Individuals with that expertise provide expert judgment and augment project
management practices by adding a human resource perspective to project activities and tasks.
Key activities associated with this knowledge area include:

Acquiring the project team. Avoid using a packaged approach that might not be aligned with specific
project needs and objectives. Evaluate the answers to the following questions to ensure a robust human
resource management plan:

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One Solution for Project Success: Project and Change Management in the PMBOK Guide

zz

zz
zz
zz
zz
zz

Does the resource understand the change management implications? For instance, if the project
involves implementing a Customer Relationship Management (CRM) system, a resource who
understands the typical pain points a CRM has on the sales organization would be much more
qualified than someone who only has a generic understanding of change management principles.
How well can this resource work in a team environment, as opposed to being more individually
focused?
Can this resource act as a change agentsomeone who will be an early adopter of the change who
can then become an active proponent and driver of the change?
Can this resource play a change integrator role and be responsible for the preparation and integration
of the change into the business?
Does the resource understand project management processes? If not, the resource will have a difficult
time integrating with the rest of the project team and will tend to isolate him- or herself.
Can the resource execute the needed activities utilizing rigor and structure? Unfortunately, there are
many resources who view their work as an art form rather than a structured approach. This makes
it difficult for the project manager to gain the necessary inputs to the project management plan and
project schedule.

Developing and managing project teams. Barriers to achieving high performance often involve a
number of change management related issues:
zz
zz
zz

Project team resources may be pulled from operations and are unable to handle the change of
working in a project environment where processes and expectations are different.
Some teams are required to work in virtual team environments, which may be a major change in how
certain teams members communicate and collaborate with each other.
Team members may not understand the value and key principles behind change management,
nor understand how to properly utilize change management inputs to enhance their work efforts.
Developing change management understanding and competency within the project team can help
everyone make stronger project-related decisions.

By utilizing change management principles and activities within the project team, many barriers to
achieving high performance can be minimized.

16

Developing and managing project sponsorship. Project Human Resource Management involves
managing all waysdownward, sideways and upward. Effective sponsorship is a critical success factor for
any initiative. As Managing Change in Organizations (PMI, 2013b) states: A sponsor provides resources
required for change and has the ultimate responsibility for the program or project, building commitment
for the change particularly at the senior management level across the organization. Direct responsibility
and accountability for the change needs to be clearly defined and accepted at an appropriately high level
within an organization (p. 11). Sponsors, and the effective execution of their role, should be part of an
integrated Human Resource Management plan. Harrington and Nelson (2013c) present a more in-depth
discussion on the importance of sponsorship including the concept of sustaining sponsorship which
illustrates the need to have a network of sponsors to sustain the projects future progress.

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September 2014

Project Communications Management


The PMBOK Guide (PMI, 2013a) states: Project Communications Management includes the processes that
are required to ensure timely and appropriate planning, collection, creation, distribution, storage, retrieval,
management, control, monitoring and the ultimate disposition of project information (p. 287). Project
communications generally fall into two categories:
1. Internal project communications, where communication activities center on project team members,
subject matter experts and other project contributors. Activities typically involve:
zz
zz
zz
zz

The creation and distribution of project work-related information (i.e., project orientation packages,
documentation of roles and responsibilities, communication of key project-related decisions, etc.)
The collection, storage and retrieval of project documentation (also referred to as Project Information
Management)
Project performance reporting (i.e., status reports, forecasts, project metrics, etc.)
Maintaining the risk register and issue log

2. External project communications, where information is crafted and communicated to those external
to the immediate project team. Activities typically include:
zz
zz
zz

The creation and distribution of messages and collateral that helps to build awareness, understanding,
knowledge and motivation
Project updates that are relevant to those outside of the immediate project team
The creation and execution of communication events (i.e., town hall meetings or lunch-and-learn
events)

Key activities associated with this knowledge area include:

Communications management plan Section 10.1.3.1 of the PMBOK Guide (PMI, 2013a) provides a list
of 14 elements included in a comprehensive communications management plan from format, content
and detail to timeframe and frequency, to methods for updating and refining the communications
management plan. By using the good practices of the PMBOK Guide (PMI, 2013a), communications
team members can be assured they will be provided robust guidance on all the elements they need to
craft a competent and comprehensive communications management plan.

Project document updates include feedback from stakeholders where stakeholders concerns regarding
project operations is captured and used to modify or improve project performance. This is again why
communication needs to be more than simply communicating project benefits to stakeholders. When
communication is two-way and regular communication feedback loops are utilized, both the project
team and project stakeholders will benefit.

Control communication which is the process of monitoring and controlling communications


throughout the entire project life cycle to ensure the information needs of the project stakeholders
are met (PMI, 2013a, p. 303). During this process, it is important that communication is open and
transparent with all stakeholders, regardless of where they may sit in the organizational hierarchy. The
use of feedback loops will again provide the necessary opportunities to interact with stakeholders and
remove any potential barriers to achieving clear and effective communications.

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One Solution for Project Success: Project and Change Management in the PMBOK Guide

In most mid- to large-size organizations, there are generally several concurrent projects taking place. It is
important not to overload organizational stakeholders with premature information. One of the keys to success is
to provide stakeholders with the right information at the right time.

Project Risk Management


The PMBOK Guide (PMI, 2013a) states: Project Risk Management includes the processes of conducting risk
management planning, identification, analysis, response planning, and controlling risk on a project (p. 309).
In keeping with the concept of having an integrated, unified approach between project and change management,
it makes little sense to have one risk management plan for technical related risks and a separate risk registry
or risk management plan for people and change related risks. Organizational risks that may have an impact
on organizational adoption and utilization should also be considered as part of any project risk management
process.
Key activities associated with this knowledge area include:

Identify risks. By making organization- and people-related risks part of the official project risk registry,
change management-related risks gain greater legitimacy and visibility than they otherwise would
have if they belonged to a siloed change management team. The identification of organizational and
people-related risk will be greatly enhanced by the engagement of stakeholders throughout the project
lifecycle. Stakeholders concerns, needs, anxieties, etc. should be interpreted as risks that can derail
the attainment of project objectives and value realization. Some example of organizational change
management related risks include:
zz
zz
zz

zz

Lack of middle management support that can make project objectives difficult to achieve.
The easy availability of workarounds, which may tempt users to circumvent the new processes and
results in a lack of adoption and an unattractive project return on investment.
Lack of active, visible sponsorship that may give the organization the impression that this initiative
does not have the full support of leadership; thus, it may be more difficult to impress upon the
organizations staff the importance of this change.
Cost-cutting measures that reduce or eliminate the change management activities in the project plan.

Plan risk responses and control risks. In planning the appropriate risk responses to organizational
change management-related risks, it is important to draw on the competencies within the team and
utilize the recommendations of expert judgment. Developing risk responses and controlling risks often
require iterative stakeholder engagement sessions. Once assessed, various interventions can be tried and
results evaluated.

Project Procurement Management


The PMBOK Guide (PMI, 2013a) states: Project Procurement Management includes the processes necessary
to purchase or acquire products, services or results needed from outside the project team (p. 355). For projects
that require procuring goods, services or resources from suppliers or vendors outside of the project, change
management perspectives should be incorporated into the vendor evaluation process. This is important whether
a supplier or vendor provides the organization with new goods (such as new technology that can subsequently
impact stakeholders in the organization) or new services and personnel resources (in which case an organization
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should assess their own capability and readiness to absorb the new knowledge, expertise and capabilities a
vendor will be introducing to the organization). Key activities associated with this knowledge area include:

Plan procurements. Change management needs and concerns should be incorporated into all relevant
requests for proposal (RFP) processes. For example, when developing an RFP for a new software system,
questions for the vendor should not just focus on technical capability, but also on how its technology
might impact stakeholders and the organization. Some change management related questions that
might be asked include:
zz
zz
zz

What are the organizational impacts of new software?


Have customers of your products ever had to deal with issues around organizational resistance or
end-user adoption? If so, how was this dealt with?
What kind of support does your company provide in terms of communication and training when
conducting a large-scale deployment?

By gaining a better understanding of the potential organizational impacts and user adoption challenges during
the RFP process, a more thorough evaluation of organizational fit can be made. An integrated procurement
approach will also allow team members to assess and plan for potential user adoption challenges that may
manifest later in the project lifecycle.

Control procurements. Control Procurements is the process of managing procurement relationships,


monitoring contract performance, and making changes and corrections to contracts as appropriate
(PMI, 2013a, p. 379). However, when procuring services and/or resource personnel, it is important to
remember suppliers and vendors often introduce new processes, knowledge and expertise into the
organization. If the organization is to benefit, then it needs to be prepared to accept and utilize the
change that will be introduced by the supplier or vendor.

Project Stakeholder Management


The PMBOK Guide (PMI, 2013a) states: Project Stakeholder Management includes the processes required
to identify the people, groups or organizations that could impact or be impacted by the project, to analyze
stakeholder expectations and their impact on the project, and to develop appropriate management strategies
for effectively engaging stakeholders in project decisions and execution (p. 391). Stakeholder Management has
been part of the PMBOK Guide for several years; but the need to place more emphasis on its importance and
value has been highlighted as a distinct Knowledge Area in the fifth edition.
The fifth edition goes on to state: Stakeholder satisfaction should be managed as a key project objective and
[t]he ability of the project manager to correctly identify and manage these stakeholders in an appropriate
manner can mean the difference between success and failure (p. 391).
Key activities associated with this knowledge area include:

Identify stakeholders. Stakeholder identification is a critical first step to developing an effective


stakeholder management plan. Since [a] stakeholder is an individual, group, or organization who may
affect, be affected by, or perceive itself to be affected by a decision, activity, or outcome of a project
(PMI, 2013a, p. 30), it is helpful to further clarify the different types of stakeholder groups and their
relationship with the project.

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One Solution for Project Success: Project and Change Management in the PMBOK Guide

In The Next EvolutionEnhancing and Unifying Project and Change Management (Jarocki, 2011),
stakeholders are categorized as having one of three types of associations with the project. In order for
organizational adoption to occur (which is a prerequisite to value creation), adoption must first occur at
each tier starting with the top tier and cascading downwards.
zz

Tier 1: Project decision makers are the stakeholders who are responsible for funding and providing
the material support for the project. Though other stakeholders have influence on the ultimate
success of the project, Tier 1 stakeholders essentially have go/no-go authority, especially when it
comes to project funding. If these stakeholders do not buy into the vision, mission, purpose and costs
associated with the project, it is unlikely the project will proceed and thus project-driven change will
not be introduced into the organization.

zz

Tier 2: Project contributors/collaborators are stakeholders who are responsible for providing the
necessary input and support for developing a well-planned and competently executed project. This
group would include project team members, subject matter experts and may also include peripheral
project resources such as corporate communications, legal, procurement, human resources,
help desk/user support and corporate standards departments. Unless project contributors and
collaborators have bought into their role and are willing to expend the time and energy to make the
project a success, the project will suffer. This will put the project at even greater risk of being rejected
by the organization.

zz

Tier 3: Recipients are stakeholders who are responsible for utilizing and creating value from the
project output. This group may include employees, end users and customers. Unless their needs and
expectations are proactively identified and addressed, there is a very high chance that the necessary
motivational and competency levels will not be achieved and that minimal value will be realized.

Figure 3 shows the relationship between the five Project Management Process Groups defined in
the PMBOK Guide (PMI, 2013a) and the Three-Tier Organizational Adoption Process (Jarocki, 2011).
Depending upon the exact project lifecycle utilized, there may be some variations in application.


Project Management Process Groups
Stakeholder
Tiers

Initiating

Planning

Executing

Monitoring and
Controlling

Tier 1 Project
Decision
Makers
Tier 2 Project
Contributors/
Collaborators
Tier 3
Recipients

Figure 3: Relationship between the project management process groups and stakeholder tiers

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Closing

September 2014

Stakeholder analysis. A stakeholder analysis (sometimes referred to as a stakeholder assessment)


is often a prerequisite to developing a stakeholder management plan. A Stakeholder Analysis is a
technique of systematically gathering and analyzing quantitative and qualitative information to
determine whose interests should be taken into account throughout the project (PMI, 2013a, p. 395).
When assessing stakeholders, it is important to keep in mind those who can support or undermine the
project, what their level of influence may be relative to their peers, who might need to be managed
closely as opposed to simply be kept informed, etc. Stakeholder analysis can often provide useful
information when it comes to understanding the political landscape and can help with not only
facilitating change adoption, but on maintaining project funding and support throughout the project
lifecycle.

Plan stakeholder management. A strong stakeholder management plan will account for the
needs and expectations of all three of these stakeholder groups, being mindful of whose needs and
expectations are most prominent at each particular phase of the project. For instance, in the beginning
of a project lifecycle, providing a strong business case and rationale to those holding the project purse
strings will result in continued funding of the project and assistance in securing the proper resources.
This senior-level sponsorship and commitment will provide incentive for other stakeholders and
corporate departments to provide the necessary inputs to craft a relevant, value-added solution and
quality execution, and organizational change readiness process. This will make for an easier change for
employees and end users to accept and utilize in order to create value for the organization.

People can make or break project success. Having a comprehensive stakeholder map that is integrated with
project activities throughout the project lifecycle is essential if project objectives and organizational value is to
be achieved.

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One Solution for Project Success: Project and Change Management in the PMBOK Guide

Summary
Projects drive change into the organization. But for value to be created, project outputs must first be adopted
and utilized by the organization. Project managers can lay the necessary foundation for organizational adoption
and value creation by employing a comprehensive approach to managing both projects and organizational
change.
Change management is not a distinct program that is different from project management. It is a suite of
concepts and activities that place an emphasis on understanding how the human, political and organizational
change factors can influence project decisions and outcomes. It is the responsibility of the project manager to
utilize these insights and perspectives to augment and enhance project management processes, which will lay
the necessary foundation for successful benefits realization.
The keys to developing a robust, integrated project management approach can be found within the PMBOK
Guide (PMI, 2013a) and other PMI publications and standards. Table 2 presents a summary of the integration
of project management/change management elements within the PMBOK Guide. While in some cases expert
judgment is required to recognize and expand upon these embedded change management concepts, it is critical
that todays project manager develop the skills and competencies required to seamlessly manage both projects
and change.
Table 2: Integration of project management (PM)/change management (CM) elements within the PMBOK Guide*
Project Management Process Groups
Knowledge Areas

Initiating Process
Group

Planning Process
Group

Executing Process
Group

Project Integration
Management

Ensure that project


objectives align with
change vision.

Integrate CM activities
into Project Plan.

Ensure CM activities
Monitor and control CM
are executed with same work.
degree of rigor as PM
activities.

Include CM activities
in scope planning and
definition.

Refine scope based


upon stakeholder
feedback and
anticipated
organizational impacts.

Include CM activities
within project charter.

Monitoring and
Controlling Process
Group

Integrate organizational
case for change
business case
financials.
Project Scope
Management

Collect requirements
including stakeholder
adoption needs.
Ensure the CM
activities are reflected
in Work Breakdown
Structure.
Consider organizational
change impacts when
crafting alternatives.

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Incorporate change
requests from
stakeholders when
feasible.

Closing Process
Group
Transfer change
sustaining activities
(such as community
of practices and user
groups) to the business.

September 2014

Project Time
Management

Align CM activities with


project events.

Assess org readiness


before finalizing
deployment schedule.

Estimate CM activities
durations.

Ensure change
adoption is achieved
prior to close-out.

Develop integrated PM/


CM schedule.
Project Cost
Management

Determine costs
associated with org
readiness and change
adoption activities.

Project Quality
Management

Plan metrics to capture


stakeholder support,
adoption rates, etc.

Perform quality
assurance activities as
they pertain to CM.

Control the quality


of stakeholder
engagement and
organizational
readiness activities.

Measure business
value and performance.

Project Human
Resources
Management

Plan metrics to capture


stakeholder support,
adoption rates, etc.

Perform quality
assurance activities as
they pertain to CM.

Control the quality


of stakeholder
engagement and
organizational
readiness activities.

Measure business
value and performance.

Project
Communication
Management

Understand the
communication needs
of various stakeholder
groups.

Manage
communications.

Provide information
regarding the change
request process.

Control costs relating


to organizational
readiness and adoption
activities.

Project Risk
Management

Ensure that
organization, change
adoption, and
stakeholder related
risks are part of RM
process.

Project Procurement
Management

Incorporate change
management concerns
into the RFP process.

Evaluate potential
organizational impacts
of vendor proposed
services or solutions.

Identify and analyze


Tier 2 and Tier 3
stakeholders.

Manage stakeholder
engagements.

Identify, analyze,
and engage Tier 1
stakeholders.

Capture lessons
learned.

Control
communications.

Develop information
management protocols
for the project team.

Project Stakeholder
Management

Capture lessons
learned.

Control risks by
providing CM
interventions with
stakeholders when
necessary.

Ensure that risks


pertaining to change
sustainment are
captured and provided
to the business.

Control stakeholder
engagements.

Provide guidance
on how ongoing
stakeholder needs
required for change
sustainment are
provided to the
business.

Plan stakeholder
management for all
three tiers.
* This table is an expansion on Table 6-3 presented in Managing Change in Organizations: A Practice Guide (PMI 2013b)

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References
Combe, M. (2014). Change readiness: Focusing change management where it counts. Newtown Square, PA:
Project Management Institute.
Davis, F. D. (1989). Perceived Usefulness, Perceived Ease of Use, and Use Acceptance of Information Technology.
MIS Quarterly. Management Information Systems Research Center, University of Minnesota.
Jarocki, T.L. (2011). The next evolutionEnhancing and unifying project and change management: The emergence
one method for total project success. Princeton, NJ: Brown & Williams Publishing.
Harrington, H. J. and Nelson, D. (2013c). The sponsor as the face of organizational change. Newtown Square, PA:
Project Management Institute.
ISO. (2014). ISO 10002:2014. Quality managementCustomer satisfactionGuidelines for complaints handling in
organizations. Geneva, Switzerland: International Standards Organization
PMI. (2013a). A guide to the project management body of knowledge (PMBOK Guide) (5th Ed.). Newtown Square,
PA: Project Management Institute.
PMI. (2013b). Managing change in organizations: A practice guide. Newtown Square, PA: Project Management
Institute.
PMI. (2014). Pulse of the profession: The high cost of low performance. Newtown Square, PA: Project
Management Institute.

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September 2014

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